India Kicks Off Key Trade Negotiations with Eurasian Economic Union

India is set to begin Free Trade Agreement talks with the Russia-led Eurasian Economic Union, expanding its trade horizons amid changing global dynamics. Beyond this, the country is exploring agreements with SACU, Mercosur, and Israel. Commerce Minister Piyush Goyal lauds India's export growth despite global challenges.

India is poised to initiate formal negotiations for a Free Trade Agreement with the Eurasian Economic Union (EAEU), a five-member bloc led by Russia. Commerce and Industry Minister Piyush Goyal announced on Tuesday that talks commence Wednesday in New Delhi, following scheduled Terms of Reference signing on August 20, 2025. Comprising Russia, Armenia, Belarus, Kazakhstan, and Kyrgyzstan, the EAEU FTA aims to unlock new markets for Indian businesses, particularly micro, small, and medium enterprises, farmers, and fishermen.

In addition to the EAEU discussions, India is exploring trade partnerships with the Southern African Customs Union (SACU) and entering the second phase of a preferential trade deal with Mercosur. SACU, the world's oldest customs union, includes South Africa, Namibia, Botswana, Lesotho, and Eswatini, while Mercosur comprises Brazil, Argentina, Uruguay, and Paraguay. Virtual negotiations with Israel for an early harvest agreement, focusing on agricultural and technological cooperation, are also on the horizon. Goyal, recently back from Israel, concluded Terms of Reference for an FTA with the country.

Minister Goyal expressed satisfaction with India's robust trade performance amid global economic setbacks. Preliminary reports indicate growth in merchandise trade and substantial gains in services exports. Highlighting the adaptability of Indian exporters, particularly in seafood, Goyal noted successful diversification to European markets after initial US trade concerns. The Board of Trade meeting was deemed highly productive, showing industry confidence and resilience despite global uncertainties.

(With inputs from agencies.)